Just-in-time strategy for bus production

Summary:

Solaris optimized component deliveries to match production needs, reducing metal, plastic, and chemical waste through Just-in-Time purchasing.

Main description:

Solaris Bus & Coach is a large Polish manufacturer with over 2,700 employees, founded in 1996. It is a leading European producer of electric buses and other low-emission public transport vehicles. It operates as a branch of the Spanish rolling stock company CAF and accounts for around 18% of the electric bus market in Europe.

The company produces buses and trolleybuses in a complex assembly line process that involves welding, painting, final assembly, and testing. It uses a wide range of materials including metals (steel, aluminum), plastics (interior panels, fittings), and chemicals (paints, lubricants, adhesives).

Increased model variability and a growing focus on electric mobility led to more customized orders and complex supply chains. Solaris identified that storing excess components, particularly specialized ones, led to a higher risk of material damage, obsolescence, and waste—especially in metal parts, plastic modules, and hazardous materials with limited shelf life.

To address these challenges, Solaris and applied lean management tools to improve production efficiency and quality. As part of this approach, they enhanced their purchasing and supply strategy by aligning it with Just-in-Time (JIT) principles. The new system ensures components are delivered in the right quantity, at the right time, and directly to the assembly lines. This reduces inventory levels, shortens production cycles, and minimizes the generation of waste materials. The JIT strategy particularly helped prevent surplus metals, outdated plastic parts, and expired chemicals from turning into waste, supporting Solaris’ broader goals in quality improvement and environmental performance.

Resources needed:

Digital supply chain management systems: Integration of ERP and MES systems to enable real-time tracking of inventory, production schedules, and supplier deliveries.
Logistics infrastructure: Efficient internal transport systems and warehouse optimization (e.g., just-in-sequence delivery zones near assembly lines).
Data analytics tools: Forecasting tools to match component orders with production needs and avoid overstocking or shortages.
Investment in IT infrastructure: Upgrades or customization of procurement and production software.
Consultancy services: External expert support to analyze processes, identify inefficiencies, and support JIT implementation.
Training and change management: Budget for staff training, workshops, and continuous improvement activities.
Cross-functional teams: Collaboration between procurement, logistics, production planning, and quality assurance departments.
Skilled personnel: Staff trained in lean manufacturing, supply chain coordination, and risk mitigation.
Supplier engagement: Strong relationships with reliable, flexible suppliers capable of meeting tight delivery windows and adapting to changing production needs.
Management support: Leadership commitment to continuous improvement and sustainable production goals.

Environmental benefits:

Reduction in metal waste: better alignment of metal part deliveries with production schedules minimized surplus and obsolete components. This resulted in avoidance of several tonnes of steel and aluminum scrap annually due to reduced overstock and damaged or outdated parts.
Reduced plastic waste: customized interior parts (panels, covers, fittings) are delivered just before installation, limiting the volume of unused or damaged items.
Decrease in hazardous and chemical waste: Paints, adhesives, and solvents are ordered in quantities matched to short-term production, minimizing expiry and disposal. This results in reduction of expired chemical stock, contributing to safer storage and fewer environmental risks.